JAPAN’S SHIMIZU TO LAUNCH WARMING GAS EMISSION RIGHTS BUSINESS IN ARMENIA

Asia Pulse
Feb 16, 2005

TOKYO, Feb 16 Asia Pulse – Shimizu Corp. (TSE:1803) intends to team up
with Mitsui & Co. (TSE:8031) and Hokkaido Electric Power Co. (TSE:9509)
to start greenhouse gas emission rights business in Armenia.

The major construction company is hoping the joint operation will
be approved as a clean-development-mechanism (CDM) business, which
allows companies to gain emission rights in exchange for cooperating
in efforts to reduce emissions in developing countries. CDM is featured
in the Kyoto Protocol, which takes effect Wednesday.

If the project is approved as a CDM business, it will be the first
such operation in Armenia. The company expects to gain approval by
the middle of this year.

Under the plan, Shimizu will build a power generation plant to produce
electricity from methane gas piped in from a waste material disposal
site. The firm intends to spend about 800 million yen on the project.

Shimizu expects the facility to eliminate about 135,000 tons of
carbon dioxide a year, which will enable the company to acquire
emission rights.